Unless they turn net buyer, more local effort is needed to prop up market. The current size of the Malaysian market is beyond the means of local.

Local institutions and retail investors were net buyers at 49% and 24% of participation, respectively. Their presence are lower during the two weeks market was tumbling.

Had they not stepped in to endure the fallout, market would have been without buyers and it could easily surpassed composite index major support level of 1,700.

Local motivation could partly be driven by World Bank growth projection for Malaysia at 5.3%, which though reduced from last year's 5.9% growth, it is not a recessionary -1.9% growth as earlier projected by Moody's.

The figure does not differ from earlier governmemt projection of 5.4% before the fast and furious change to meet PH's 100 days manifesto and justified using conjured up RM1 trillion debt figure.

As one major stock market player privately confided, both views are based on data considered as "historical" in nature. It is neither forecast nor economic outlook.

Local buyers maybe temporarily encouraged to pick bottom from the contrarian view on Malaysia from a foreign fund manager. [Read TMI HERE.]

It was the breather local market was looking for.

Those investors that has trouble stomaching the zigzag market could reassess their risk tolerance level. [Read interesting CNBC article HERE]

The said stock market player cautioned such comment from a minor and lesser known fund manager of Malaysian shares.

The fund manager obviously took position on Malaysia thus he naturally wanted other fund manager to follow suit.

If he is buying on behalf of Malaysian interest, on non-discretionary basis, particularly Malaysian institutional clients, it could be a backdoor market intervention with a foreigner as cover.

Latest Friday: Foreign fund still flowing out!

Nevertheless, these outflows by foreigners are already reflected by the drop in BNM's foreign reserves which has decreased US$1 billion since GE14.

Ghost of past crisis

Has the bleeding ceased?

There is still Friday to go before a Raya shortened next week.

One earlier view was that foreign shortist could be covering their position before the long Raya holidays or resume their massive shorting.

The either way direction comes with volatility. It does not negate the fact that Malaysia's stock market is faced with a crisis of confidence.

It does not matter that there is revival in confidence following the aversion of a potential trade war.

If only the USD1 billion reduced reserve could have been chanelled to projects and programmes for the netizens and the country...hmmm! As it is, it has been lost into thin air. That's a lot to lose in less than 1 month. The government is answerable.